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Aiming for More Growth
Results of Operations for the
Fiscal Year Ended March 31, 2014
April 30, 2014
Nihon Trim Co., Ltd.
The information, forecasts, etc. available in this material are the Company’s judgment as of the preparation date thereof and do not
always guarantee the accuracy of these information. Further, the Company and the information provider will not be responsible for
any damages incurred according to these information. * The material is not prepared for the purpose of soliciting investments.
IR Contact: Business Strategy & Management Dept. (TEL: +81-(0)6-6456-4633 E-mail: ir@nihon-trim.co.jp)
Contents
2
1. Overview of the Nihon Trim Group Business
2. Business Performance, Forecast, Indices, etc.
3. Supplementary Materials
Pages 3 - 19
Pages 20 - 28
Pages 29 - 36
3
1. Overview of the Nihon Trim Group Business
FY3/14 Topics
4
❑ Sales and profits higher for five consecutive fiscal years
❑ Record-high earnings
❑ Rapid growth in the genetic diagnosis sector makes a big contribution to
earnings
❑ The Federation of Diet Members to Promote the Use of Highly Functional
Water was established (May 2013)
❑ Japan’s largest private cord blood bank became a consolidated subsidiary
(September 2013)
❑ Started OEM business with a major home appliance manufacturer
(December 2013)
5
❑ Full-scale start of operations with the sales company of a major home appliance
manufacturer
❑ Concentrating on business activities involving cancer-related genetics in the
genetic diagnosis business.
� Plan to submit an application in Japan for an external diagnostic drug
� Plan to receive CE mark certification to start operations in Europe and China
❑ Many activities for increasing the number of cord blood held at the cord blood
bank
❑ Plan to conduct human tests for the purpose of confirming the benefits of
Electrolyzed hydrogen water (EHW) regarding metabolic syndrome
❑ Expect to install electrolyzed water hemodialysis systems at four new locations
and will work on further expanding the use of these systems
❑ Agriculture: Started full-scale cultivation of reduced vegetables in May 2014 in a
1,300m2 greenhouse
❑ Using an alliance with a company in China to expand operations in this country
FY3/15 Topics
The Business Goals of the Nihon Trim Group
6
❑ Use highly functional water
❑ Help the people of Japan lead healthy lives
❑ Become an important industry for health care, agriculture and industry sectors
❑ Utilize technologies created in Japan
Transform from a household appliance supplier into a medical company
Positioning the Nihon Trim Group as a supplier of medical devices will also help
increase sales of household EHW systems.
• MGO measurement (TMI)
• Mutated gene detection kits (TRIMGEN)Prediction
• EHW (drinking EHW system)
• Reduced Vegetables
(EHW system for vegetables/functional crops)Prevention
• Electrolyzed water hemodialysis (EW-HD system)
• EHW (drinking EHW system)
• Cord blood bank (StemCell Institute)Treatment
Aiming for good
health and a long life
Lower health care
expenses
Realization of a Water Health Care Society
7
日本日本日本日本トリムトリムトリムトリム
1. About 5% of Japan’s approximately 50 million households use EHW systems
(water purifier ownership rate is about 40%)
2. Goal is to increase EHW system use to 20% by raising awareness of its benefits and performing research
to identify new uses for EHW
Benefit: Improve condition of stomach and intestines
50 million households x 20% (a) Improves health (b) Low costnote1 (c) Ecology
= 10 million households
3. Nihon Trim anticipates a market share of 30%
10 million households x 30% = 3 million households
(a) Equipment sales (one-by-one sales):
Total market for purifiers is ¥1 trillion = ¥300 billion (30% share)
(b) Replacement cartridges (consistent sales):
Purification cartridge sales of ¥20 billion/year
(assuming a 70% replacement ratio)
4. Global expansion by using the “functional water business,” a technology that originated in Japan
Note 1: Approx. 7 yen per liter when using TRIM ION HYPER for five years
and replacing the cartridge once each year
59.4%
14.9%
9.7%
1.0%
0.4% 0.1% 14.5%
Nihon Trim
Others
Company A
Company E
Company B
Company D
Company C
❑ Today, people want water with both “quantity” and “quality” (functions)
❑ Health care: Prevention to reduce treatment and nursing home care
Preventing diseases lowers health care expenses
Goal is to sell 3 million units of the EHW System!!
Source: Yano Research Institute
“2014 White Paper on Water Purifiers/Water Conditioners”
To Raise Utilization to 3 Million Units of EHW Systems
8
1. Demonstrate effectiveness regarding lifestyle
diseases
2. Launch of next-generation products
3. Strengthen promotional activities and improve
ratio of purchase decisions
4. Strengthen R&D activities at the industrial,
public and academic sectors
Demonstrate Effectiveness Regarding
Lifestyle Diseases
9
0
100
200
300
400
500
600
Blo
od
tri
gly
ceri
de
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ve
l (m
g/d
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Blood triglyceride level
Before
consumption
After
consumption
0
50
100
150
200
250
300
350
400
Blo
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ga
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ve
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Blood sugar level
Before
consumption
After
consumption
Human tests for drinking EHW
Announce results using symposiums
and research papers
Increase the use of EHW systems
Starting large-scale tests in the current fiscal yearStarting large-scale tests in the current fiscal year
Example of completed EHW testExample of completed EHW test
Experiment for benefits of drinking EHW Joint research with Kitano Hospital of the Tazuke Kofukai Medical Research Institute
Individuals used EHW as ordinary drinking water for at least 60 days with the goal of drinking about 2,000ml every day.
(1) Blood triglyceride level (normal range: 45-150mg/dl)
Among the individuals who used EHW, 11 of the 12 people
who had elevated blood triglyceride levels saw these levels
decline and the level decreased to normal for two people.
(2) Blood sugar level (normal range: 70 -109mg/dl)
Among the individuals who used EHW, all of the 11 people
who had elevated blood sugar levels saw these levels
decline and the level decreased to normal for eight people.
This research is currently in the verification phase and the data shown here are
pilot figures showing that the desired effect may be achieved. These figures are
not a guarantee of effectiveness.
Launch of Next-generation Products
10
“Compact”
“Digital display for dissolved hydrogen density (approximate)”
“Better cartridge performance”
Standard price in Japan (with tax): 177,120 yen
(Medical equipment manufacture
certification number: 226AGBZX00012000)
Benefit:
Improve condition of stomach and intestines
� Removes 13 JIS-designated compounds*1 and three compounds*2 in
JWPA voluntary standards!■ Used cartridges are
collected and
recycled at no charge!
Can be installed almost anywhere thanks to its stylish and compact design.
Compared with NEO, volume is about 18% smaller and the area needed for
installation is about 15% smaller.
When the unit produces EHW, the display shows the approximate level of
dissolved hydrogen in the water in ppb. A patent is pending for this capability
that no other company offers.
In addition to the 13 JIS-designated compounds removed by the previous
cartridge, this new cartridge removes three compounds in the voluntary
standards of the Japan Water Purifier Association (JWPA). Furthermore, each
cartridge can purify 8,000 liters of water compared with 7,000 liters for the NEO
cartridge.
Microcarbon Cartridges
Filtering capacity of water purification cartridges�Removable Materials (Total Filtered Water: 8 tons total) (Test Filter Quantity: 3L/min)
*1: 13 JIS-designated compounds 5 Bromodichloromethane 10 1,1,1-trichloroethane
1 Free residual chlorine 6 Dibromochloromethane 11 CAT (agricultural chemical)
2 Turbidity 7 Bromoform 12 2-MIB (odor of mold)
3 Total trihalomethan*3 8 Tetrachloroethylene 13 Soluble lead
4 Chloroform 9 Trichloroethylene
*3: Total trihalomethan" is the sum of the amount of materials 4 to 7.
(a) Nonwoven fabric
(b) Microcarbon
Water entrance (tap water)
Water discharge
(pure water)
*2: 3 JWPA voluntary
standard compounds
1 Geosmin (odor of mold)
2 Phenols
3 Anionic surfactants
Strengthen Promotional Activities and
Improve Ratio of Purchase Decisions
11
Since December 2013
Launched Website providing information
on locations where people can drink EHW
Information on the 35 locations throughout
Japan where people can select menu items
that incorporate EHW or drink EHW.
facebook twitterYouTube Staff blogManufacturing subsidiary
created its own website
February 2014
Water Awareness Survey
An Internet survey was performed on February 22 and 23, 2014 to
gather information from 400 married women between the ages of 20
and 59 about their views of water for drinking and cooking at home and
how they use water.
May 2013
“Father-Child Cooking Class” for Mother’s Day
Fathers and children prepared meals
together for mothers in an event held with
the Shokuryo Gakuin (Food Academy).
August 2013
Gutta Ri-Man (“Exhausted business people”)
Rescue Project
This project supports the heat stroke
prevention project of the Ministry of the
Environment and Ministry of Health, Labour
and Welfare. Nihon Trim set up a water
distribution and relaxation space in Tokyo’s
Marunouchi district to provide EHW and
shaved ice at no cost to office workers.
Cool Off Award 2013
Received Award for Excellence
Started October 2013
“Project Sugoi-ne! Go-Tochi Kyaraben!” TV Program
A nationwide TV program for making lunch box meals with the faces of local
characters (Started October 8; broadcast on CS Sky A Sports+, sponsored
solely by Nihon Trim)
“Bary-san” from the city of Imabari
won the 2012 Grand Prix
Strengthen R&D Activities at the Industrial,
Public and Academic Sectors
12
[Basic Research Field] - Identifying the mechanism for the benefits of EHW
(2) School of Agriculture, Kyushu University
(1) Karolinska Institute (Sweden)
Department of Neuroscience
[Medical/Preventive Medical Care Field] - Applied for hemodialysis (clinical
study)
[Agricultural Production Field] - Confirm the benefits of EHW on crops and
develop an agricultural EHW system
(Japan)
[The Federation of Diet Members to Promote the Use of Highly Functional Water]
Established in May 2013
(3) Fukushima Medical University
(4) School of Medical Science, Tohoku University/
Kashima Hospital (Fukushima)/Nikko Memorial Hospital (Hokkaido), etc.
(5) Department of Surgery, Kochi Medical School
(Overseas)
(6) Clinical Laboratory Sciences and Medical Biotechnology,
National Taiwan University (Taiwan)
(7) Karolinska University Hospital (Sweden)
(8) Faculty of Agriculture and Agricultural Science Program,
Kochi University
(9) Faculty of Agriculture, Kyoto Prefectural University/
Kyoto Prefectural University of Medicine
Tohoku University Hospital
Karolinska University Hospital
Hemodialysis Ward
Main component EHW Tap water
α-carotene (μg/100g) 7 5
B-carotene (μg/100g) 780 750
Lycopene (mg/100g) 10 9
Sugar content (%) 8.2 7.6
13
Reduced vegetable production has started
at this large greenhouse.
1. Started full-scale cultivation of reduced vegetables in a large 1,300m2 greenhouse in May 2014.
2. Established regional alliances and cooperative frameworks that include industrial, academic and public-sector partners
Kochi Prefecture (confirmed higher revenues and value added), JA Nankoku City (production, distribution, marketing)
Kochi University Faculty of Agriculture (identified physical properties and mechanism of water; confirmed anti-oxidant
properties of crops)
3. Signed an industrial promotion agreement to cooperate with the City of Nankoku in Kochi prefecture and made an investment in
Nishijima Flower Garden Co., Ltd. It conducts demonstration cultivation of reduced vegetables
4. Reduced vegetables were exhibited at Kochi Kodawari Produce Market in Osaka 2014 and generated substantial interest among
department store buyers and vegetable sommeliers
Yield EHW Tap water
Weight (grams) 575 455
No. of tomatoes 66 59
Weight per tomato (grams) 8.7 7.7
High volume of anti-oxidants (B-carotene, lycopene) with EHW
EHW yields a larger volume and higher weight per tomato
❑ EHW allows growing highly functional plants with higher yields and large amounts of anti-
oxidants
❑ A grower-processor-distributor framework has been established by using alliances with an
agricultural products company and a large retailer
❑ Used at plant factories
Tomatoes Grown with
EHW vs. Tap Water
EHW (pH10)
EHW (pH10)
Tap water
Tap water
Agriculture: Reduced Vegetables (Trademark)
[Analysis by Japan Food Hygiene Association]
Overseas: Indonesia (Bottling business)
14
� Participating in a joint business venture with a local conglomerate called the Sinarmas Group
� Profitable for three consecutive years
� Japanese embassy, consulate general, JAL Narita-Jakarta, hotels, Starbucks Coffee, Seven-Eleven, etc.
� Exports to Singapore
� Environmental protection activities through an alliance with Taman Nasional Gunung Gede Pangrango
(National Park)
� Sustainable growth backed by an expanding middle-class in a country with the world’s fourth-largest population
and a growing economy
� Plan to add another production line that incorporates even more advanced technologies
Local brand “Prestine”
Overseas: China/Taiwan (EHW systems sales)
15
China:
Taiwan:
� Many actions are under way for growth; considering an alliance with a company in China
� Operations are still small but are growing steadily
� Using the sales channels of the alliance partner, a distributor of medical products, and
branding through joint research with Taiwan University with the aim of enlarging sales
channels for EHW systems
� Increasing the number of sales agents in Taiwan
Guangzhou Trim website Taiwan showroom
Genetic Diagnosis (Individualized treatments)
16Mutector II (Mutated gene detection kit) WaxFree (FFPE gene extraction kit)
❑ R&D for mutated gene detection kits and gene extraction kits; goal is to expand
manufacturing and sales operations and grow on a global scale� Use exclusive technologies for R&D, manufacturing and sales for genetic testing kits
� Use individualized treatments for drug selection in order to reduce side effects; lowers cost
of treatment and risk of accidents involving treatment
FY3/14
1. Rapid growth in TrimGen Holdings Co., Ltd.: Results for FY3/14: net sales ¥619 million; operating income ¥467 million
(Reference: FY3/13 net sales ¥136 million; operating income ¥50 million)
2. Office was opened in Osaka for the purposes of building a stronger base for sustained growth, expanding into the
Japanese market, and listing its stock in Japan in the near future.
3. Developed new product with a clinical study company
Genetic Diagnosis: Forecast for FY3/15
17
<TrimGen earnings forecast>
(Millions of yen) FY3/14 Results FY3/15 Forecast
Net sales 619 150
Gross profit 575 128
SG&A expenses 108 188
Operating income 467 -60
Ordinary income 677 -81
FY3/15
1. Uncertainty about transactions for warfarin sensitivity kits with a clinical study company, which contributed to growth in FY3/14a) Tests are mostly completed with regard to trials with the U.S. FDA concerning the effectiveness of genetic tests prior to administering
warfarin
b) Use in FDA tests demonstrates the advanced technologies and reliability of TrimGen products
c) Tests results showed that requiring genetic tests prior to administering warfarin is possible = Raises expectations for rapid growth of
this market
2. Concentrate on growth in the original core market of genetic testing involving cancera) Applied in Japan for approval of external diagnostic drug = Started clinical trial with Mie University in December 2013
b) Aim to acquire CE mark certification for starting operations in Europe and China
3. Take steps involving capital, internal controls and other items to prepare for the IPO in Japan of TrimGen Holdings.
These actions will raise expenses.
a) Recruit more employees to strengthen R&D, sales and administrative activities
b) Expenses for audits and other activities to prepare for the IPO
4. Foreign exchange gains of ¥204 million was recorded in FY3/14. In FY3/15, we estimate foreign exchange loss of ¥25 million.
�Start activities involving cancer-related genetic operations
�To prepare for the IPO, infrastructure will be strengthened while expenses will increase
Electrolyzed Water Hemodialysis
18
[Sales and Promotions]
1. Plan to install electrolyzed water hemodialysis systems at four new locations
2. A sales agent agreement has been signed with Nikkiso Co., Ltd. to co-promote sales promotion activities (15 hospitals/190
beds at the end of April 2014)
3. The 7th Electrolyzed Water Hemodialysis Study Group meeting, which was hosted by the Association of Electrolyzed Water-
Hemodialysis (EW-HD) Study Group, was held on February 1, 2014
[R&D]
1. R&D project has started with subsidies of about ¥230 million(The Japan Science and Technology Agency and the Fukushima Prefecture Medical and Welfare Equipment Development Project)
2. Selected as one of the sessions for next-generation dialysis treatment methods at the Japanese Society for Dialysis Therapy
(Fukuoka, June 2013)
3. Clinical research with Karolinska Institute (Sweden) is currently underway
❑ A revolutionary treatment method that targets the high volume of water used for dialysis (patented)
❑ Using a dialysis fluid that includes hydrogen improves patients’ quality of life by reducing oxidation stress,
inflammations and side effects
Example of an electrolyzed water hemodialysis
system for many dialysis patients
A medical institution that uses
electrolyzed water hemodialysis
7th Electrolyzed Water Hemodialysis
Study Group Meeting
Regenerative Medicine
1919
1. StemCell Institute became a consolidated subsidiary in September 2013
Nihon Trim’s consolidated FY3/14 results include six months of StemCell Institute earnings
(sales of ¥312 million and operating income of ¥47 million)
Amortization of goodwill: about ¥34 million / year (six months of amortization in FY3/14)
2. There is much growth potential for Japan’s cord blood storage market while the storage ratio in
Japan is still low.[Cord blood storage ratio for newborns]
Japan (1 million): 0.4% USA (3.8 million): 7%
South Korea (0.49 million): 12% Taiwan (0.2 million): 5%
*Numbers in parentheses are annual births
[Uses of Cord Blood]
1. For the treatment of diseases [hematopoietic stem cell transplant]
Leukemia (brothers-sisters)/ Aplastic anemia (donor, brothers-sisters), and others
2. For diseases at the clinical trial stage (overseas) [regenerative medicine and
cellular therapy]
Cerebral palsy / Hypoxic-ischemic encephalopathy, and others
3. For diseases at the R&D stage (overseas, Japan) [regenerative medicine and
cellular therapy]
Chronic pneumonitis / Parkinsonian tremor / Cerebral infarction, and others
[Uses of Cord Blood]
1. For the treatment of diseases [hematopoietic stem cell transplant]
Leukemia (brothers-sisters)/ Aplastic anemia (donor, brothers-sisters), and others
2. For diseases at the clinical trial stage (overseas) [regenerative medicine and
cellular therapy]
Cerebral palsy / Hypoxic-ischemic encephalopathy, and others
3. For diseases at the R&D stage (overseas, Japan) [regenerative medicine and
cellular therapy]
Chronic pneumonitis / Parkinsonian tremor / Cerebral infarction, and others
❑ The long-term storage service of cord blood in anticipation of its use in regenerative medicine and
cellular therapy and for treating future diseases
❑ StemCell Institute Inc. is Japan’s largest private cord blood bank (31,132 individuals as of March 2014)
20
2. Business Performance, Forecast, Indices, etc.
FY3/14 Results: Consolidated Statement of Income
21
Amount % Amount %
Net sales 10,690 100.0% 13,144 100.0% 2,454 23.0%
Cost of sales 2,357 22.0% 2,987 22.7% 630 26.7%
Gross profit 8,333 78.0% 10,157 77.3% 1,824 21.9%
SG&A expenses 6,149 57.5% 7,043 53.6% 894 14.6%
Operating income 2,184 20.4% 3,114 23.7% 930 42.6%
Non-operating income 290 2.7% 398 3.0% 108 37.2%
Non-operating expenses 34 0.3% 70 0.5% 36 99.9%
Ordinary income 2,440 22.8% 3,442 26.2% 1,002 41.1%
Extraordinary income - - 143 1.1% 143 -
Extraordinary losses - - 42 0.3% 42 -
Income before income taxes 2,440 22.8% 3,543 27.0% 1,103 45.2%
Income taxes 906 8.5% 1,001 7.6% 95 10.5%
Minority interest in income 8 0.1% 35 0.3% 27 353.2%
Net income 1,526 14.3% 2,507 19.1% 981 64.3%
Net income per share 117.38 yen 65.5%
Change
(Amount)
Change
(%)
179.31 yen 296.69 yen
(Millions of yen)FY3/13 Results FY3/14 Results
Note: The Company conducted a 2-for-1 common stock split on October 1, 2013.
Net income per share for FY3/13 and FY3/14 have been adjusted to reflect the stock split.
FY3/14 Results: Sales by Business Segment
22
Amount % Amount %
(Flow-type business)
DS Division (workplace sales) 4,335 40.6% 4,536 34.5% 201 4.6%
HS Division (installation and referral sales) 1,342 12.6% 1,700 12.9% 358 26.7%
SS Division (store event sales) 595 5.6% 716 5.4% 121 20.3%
MS Division (OEM and wholesale sales) 694 6.5% 1,079 8.2% 385 55.4%
Operations Division (after-sales services) 274 2.6% 284 2.2% 10 3.7%
EHW systems sales, total 7,240 67.7% 8,315 63.3% 1,075 14.8%
(Stock-type business)
Cartridges 2,649 24.8% 3,062 23.3% 413 15.6%
(Sales at subsidiaries)
TRIM (Guangzhou) Water & Health Co., Ltd. 34 0.3% 51 0.4% 17 54.3%
PT.SUPER WAHANA TEHNO 246 2.3% 254 1.9% 8 3.8%
(Others) 370 3.5% 489 3.7% 119 31.8%
Total 10,539 98.6% 12,171 92.6% 1,632 15.5%
Genetic diagnosis 137 1.3% 619 4.7% 482 353.1%
Regenerative medicine - - 312 2.4% 312 -
Electrolyzed water hemodialysis and
MGO measurement14 0.1% 42 0.3% 28 192.3%
Total 151 1.4% 973 7.4% 822 545.7%
10,690 100.0% 13,144 100.0% 2,454 23.0%
Change
(%)(Millions of yen)
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Consolidated, total
FY3/13 Results FY3/14 Results Change
(Amount)
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A Healthy Financial Condition (Consolidated)
23
(Millions of yen) As of Mar. 31, 2013 As of Mar. 31, 2014
Current assets 10,612 14,365
A: Cash and deposits 6,224 8,914
B: Accounts receivable-
installment2,460 2,721
A+B: Total 8,684 11,635
Non-current assets 5,072 5,631
Total assets 15,684 19,997
Percentage of current assets:
81.0%
* Listed-company average: 36.2%(Refer to the aggregate summary of financial results for the fiscal
year ended March 31, 2013 on the Tokyo Stock Exchange website)
(Millions of yen) As of Mar. 31, 2013 As of Mar. 31, 2014
Total assets 15,684 19,997
Net assets 12,330 14,906
Equity ratio 78.6% 74.5%
Declined 4.1% due to the
inclusion of StemCell Institute
as a consolidated subsidiary
For StemCell Institute, 10 years of
storage fees are received when a
contract is signed. As a result,
unearned revenue and long-term
unearned revenue increase, which
causes the equity ratio to
decrease. However, liabilities
include no obligations that must be
repaid.
FY3/15 Forecast: Consolidated Statement of Income
24
Amount % Amount %
Net sales 13,144 100.0% 14,000 100.0% 856 6.5%
Cost of sales 2,987 22.7% 3,430 24.5% 443 14.8%
Gross profit 10,157 77.3% 10,570 75.5% 413 4.1%
SG&A expenses 7,043 53.6% 7,520 53.7% 477 6.8%
Operating income 3,114 23.7% 3,050 21.8% -64 -2.1%
Non-operating income 398 3.0% 130 0.9% -268 -67.3%
Non-operating expenses 70 0.5% 50 0.4% -20 -28.6%
Ordinary income 3,442 26.2% 3,130 22.4% -312 -9.1%
Extraordinary income 143 1.1% - - -143 -
Extraordinary losses 42 0.3% - - -42 -
Income before income taxes 3,543 27.0% 3,130 22.4% -413 -11.7%
Income taxes 1,001 7.6% 1,150 8.2% 149 14.9%
Minority interest in income 35 0.3% 40 0.3% 5 14.3%
Net income 2,507 19.1% 1,940 13.9% -567 -22.6%
Net income per share -67.17 yen -22.6%
Change
(Amonut)
Change
(%)
296.69 yen 229.52 yen
(Millions of yen)FY3/14 Results FY3/15 Forecasts
FY3/15 Forecast: Sales by Business Segment
25
Amount % Amount %
(Flow-type business)
DS Division (workplace sales) 4,536 34.5% 4,703 33.6% 167 3.7%
HS Division (installation and referral sales) 1,700 12.9% 1,870 13.4% 170 10.0%
SS Division (store event sales) 716 5.4% 769 5.5% 53 7.3%
MS Division (OEM and wholesale sales) 1,079 8.2% 1,375 9.8% 296 27.5%
Operations Division (after-sales services) 284 2.2% 286 2.0% 2 0.9%
EHW systems sales, total 8,315 63.3% 9,003 64.3% 688 8.3%
(Stock-type business)
Cartridges 3,062 23.3% 3,251 23.2% 189 6.2%
(Sales at subsidiaries)
TRIM (Guangzhou) Water & Health Co., Ltd. 51 0.4% 55 0.4% 4 5.8%
PT.SUPER WAHANA TEHNO 254 1.9% 301 2.2% 47 18.5%
(Others) 489 3.7% 498 3.6% 9 2.0%
Total 12,171 92.6% 13,108 93.6% 937 7.7%
Genetic diagnosis 619 4.7% 150 1.1% -469 -75.8%
Regenerative medicine 312 2.4% 720 5.1% 408 130.4%
Electrolyzed water hemodialysis and
MGO measurement42 0.3% 22 0.2% -20 -47.1%
Total 973 7.4% 892 6.4% -81 -8.3%
Consolidated, total 13,144 100.0% 14,000 100.0% 856 6.5%
Change
(%)(Millions of yen)
Wa
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FY3/14 Results FY3/15 Forecasts Change
(Amount)
50.76 127.70 192.12 256.09 358.62
2.4%
5.8%
8.2%
10.1%
12.9%
18.4%
1.9%
4.6%
6.4%8.0%
10.2%
14.1%
0%
2%
4%
6%
8%
10%
12%
14%
16%
18%
20%
0.00
100.00
200.00
300.00
400.00
500.00
600.00
700.00
FY3/09 FY3/10 FY3/11 FY3/12 FY3/13 FY3/14 FY3/15 (fct.)
Net income per share ROE ROA
296.69 229.52
Pre-split basis
593.38 Pre-split basis
459.04
Aiming to Improve Management Efficiency
26
10.9%
15.4%
17.6%
20.9%22.8%
26.2%
22.4%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
FY3/09 FY3/10 FY3/11 FY3/12 FY3/13 FY3/14 FY3/15 (fct.)
Ordinary Income to Net Sales
ROE/ROA
* ROE (Net income/ Shareholders' equity)
ROA (Net income/Total assets)
2-for-1 stock split in
October 2013
Initiatives to Enhance Shareholder Value
27
FY3/09 FY3/11FY3/10 FY3/12 FY3/13 FY3/14
50
¥100 equivalent
based on the number
of shares before the
stock split
35
Trend in dividend (Yen)
� Dividend policy: Placing importance on paying stable dividends, while payout ratio to improve gradually
� Shareholder special benefit plan: Discount coupon for Nihon Trim products
50
FY3/15 (fct.)
*April 25, 2014
Announcement of the repurchase of
treasury shares
Issued shares: 50,000 shares
Total acquisition price: ¥250 million
Repurchase period: Apr. 28, 2014 to
Mar. 31, 2015
35
60
30
50 50
70
Dividend
increase
of 15 yen
2-for-1 stock split
in October 2013
*Retirement of 300,000 shares of
treasury share on September 26,
2013
Trend in Consolidated Results of Operations
28
4,573 5,237
6,418
8,808
9,762 10,101
9,650 9,572 8,749
7,963 8,232 8,889
9,617
10,690
13,144
14,000
694 934 1,408
1,922 2,213 2,406 1,783 1,488
929 866 1,265 1,561
2,012 2,440
3,442 3,130
0
3,000
6,000
9,000
12,000
15,000
Net sales Ordinary income
Nov. 2000
Registered on
JASDAQ
Feb. 2003
Listed on TSE 2nd Section
Mar. 2004
Listed on TSE 1st Section
Mar. 2010
Launched TRIM ION NEO
(Millions of yen) Apr. 2014
Launched TRIM ION HYPER
Apr. 2014
Launched TRIM ION HYPER
29
3. Supplementary Materials
The Anti-oxidant Properties of EHW
30
Water samples pH
Oxidation-
reduction
potential (mV)
Dissolved
hydrogen density
(ppb)
Tap water 7.57 564 0
EHW Level 1 9.3 -106 117
EHW Level 2 9.62 -175 211
EHW Level 3 9.96 -210 301
EHW Level 4 10.01 -389 327
Osaka
• Water samples were obtained in Kita-ku,
Osaka
• pH = Hydrogen ion index
= More alkaline as number increases
• Oxidation-reduction potential
= Reduction power increases as voltage
decreases
• ppb = Parts per billion, a measure of density
All figures may change depending on the
location and season.
How EHW eradicates reactive oxygenElectrolysis
Produces oxygen
Electrolyzed acidic
water
Produces hydrogen
EHW
Electrode
Electrode
Ion
exch
an
ge
me
mb
ran
e
Reactive oxygenReduction
Returns to water
after reduction
Active hydrogenImage
Nihon Trim’s Exclusive Technologies
31
Chlorine
Calcium
Potassium
Sodium
Magnesium
Cl-
O2O2
+ electrode - electrodeSeparation
membrane
H2 H2
Electrolyzed
acidic waterEHW
ScaleProduces EHW with
consistent long-term
performance
*Photo shows electrode
coated with a scale
Electrode of a Nihon Trim EHW system
Electrode of alkaline ion water purifier
Stable production of
alkali ion water for
only a short time
*The double auto-change cross-line method
Switching polarity periodically prevents scale from
accumulating on the electrodes, which keeps electrolysis
performance high for a long time.
No need to clean the electrode plates!
An SPA Model for EHW Systems
32
Installation /
Follow-up ServicesSalesR&D / Manufacturing
(Production Factory)
“ISO9001:2008” “ISO13485:2003” 28 sites, approx. 200 sales employees Approx. 0.55 million household customers
Manufacturing Subsidiary
Trim Electric Machinery Co., Ltd.
Sales Company
Nihon Trim Co., Ltd.
Installation Subsidiary
Trim Life Support Co., Ltd.
An integrated business model that covers everything from
manufacturing to sales and customer service
Corporate Social Responsibility
33
● Recycling of used water purification cartridges
● Kochi Business Challenge Fund (the Nihon Trim Fund)
Provide support for start-up businesses (formed with a donation of ¥100 million)
● Sports: Holds Trim Cup and other events
(1) Sponsored by the Japan Futsal Federation:
Trim Cup 2014 6th National Women‘s Invitational Futsal Tournament
(2) Main sponsor of The Kochi Fighting Dogs
(3) Baseball Challenge League sponsor
(4) Official water contract with Orix Buffaloes
(5) Official supplier of Tango university ekiden and Kansai students ekiden relay race
* Supplied to 10 teams in the J League, and approx. 100 sport-related organizations including
professional teams, corporations, universities, and high schools.
● Relay for Life Japan
Support events for cancer patients and their families are sponsored by the Japan
Cancer Society.
We provide “I'm fine” as an official supplier.
FY3/14 Topics
34
■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■ ■
2013 2014
Entered into the
agriculture field
Ran a booth at the
Japanese Society for
Dialysis Therapy
Entered into the
regenerative
medicine field
Relocated Nihon Trim
Headquarters
Opened three
sales officesOpened TrimGen
Osaka Office
The Federation
of Diet Members
was established
6th Trim Cup
7th Electrolyzed Water
Hemodialysis Study
Group Meeting was heldJun.
May Jul.
Aug.
Sep.
Sep.
Mar.
Feb.
Oct.
Corporate Overview
35
Corporate Overview
Main businessManufacture and sale of household EHW system
(healthcare device)
Established June 12, 1982
Headquarters22F, Herbis Ent, 2-2-22 Umeda, Chuo-ku, Osaka, Japan
Tel. +81-(0)6-6456-4600 Fax. +81-(0)6-6455-3951
Capital 992,597,306 yen
SharesListed on the First Section of the Tokyo Stock Exchange
Securities Identification Code: 6788
Issued shares 8,656,780 shares
Shareholders 4,653 (as of the end of March 2014)
Employees 449 (as of the end of March 2014)
President Shinkatsu Morisawa
Main banksSumitomo Mitsui Banking Corporation,
Sumitomo Mitsui Trust Bank, Limited
HERBIS ENT, where the Company’s
headquarters are located
Member of Councillors, Nippon Keidanren
Member, Kansai Economic Federation
Member, Osaka Chamber of Commerce and Industry
Member, Japan Hospital Association
Director, Functional Water Foundation
Nihon Trim Group Companies
36
Water and Health care Business Medical and Genetic Business
Overseas Business
TRIM (Guangzhou) Water & Health Co., Ltd.(Based in China; established in October 2005)
PT SUPER WAHANA TEHNO(Based in Indonesia; invested in October 2006)
ISO:22000:2005
MEDFIRST TRIM CO., LTD.(Based in Taiwan; established in April 2012)
Trim Electric Machinery Co., Ltd.
(Production factory; established in February 1990)
ISO9001: 2008 ISO13485: 2003
Functional Water & Cell Analyzing Center
Co., Ltd.(Measurement and scientific analysis of functional water;
established in April 2004)
Trim Life Support Co., Ltd.(After-sales services; established in February 2012)
Others
TrimGen Corporation(Development of genetic diagnostic kit; established in
January 1999)
ISO9001: 2008
TrimGen Holdings Co., Ltd.(Holding company; established in May 2007)
Trim Medical Institute Co., Ltd.(Contract measurements of glycolytic metabolites and
sales of electrolyzed water hemodialysis system;
established in December 2007)
StemCell Institute Inc.(Private cord blood bank; established in August 1999)
Trim Electric Machinery
(Nankoku city, Kochi prefecture: completed in 2002)
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